The issue opened on July 16 after receiving approvals from the bank’s board in May and shareholders in June.
SBI may offer a discount of up to 5% on the floor price, with the final issue price to be determined in consultation with book-running lead managers, the lender stated. The bank filed the preliminary placement document with the stock exchanges on the same day.
Earlier today, CNBC-TV18 reported that Life Insurance Corporation of India (LIC) is likely to be a key participant in the QIP, with a potential bid exceeding ₹5,000 crore. Strong interest is also being seen from domestic mutual funds.
The capital raise is intended to strengthen SBI’s balance sheet rather than fund immediate growth, with the lender targeting a Common Equity Tier 1 (CET1) ratio of 12% and a Capital to Risk-weighted Assets Ratio (CRAR) of 15% by March 2027. As of March 2025, the CET1 ratio stood at 10.81% and CRAR at 14.25%.
In a separate announcement, SBI said its board also approved raising up to ₹20,000 crore through Bael III-compliant Additional Tier 1 and Tier 2 bonds in FY26.
SBI shares are widely favoured by analysts, with 40 out of 50 brokerages covering the stock maintaining a ‘Buy’ rating, nine a ‘Hold’, and one a ‘Sell’, according to CNBC-TV18.
(Edited by : Ajay Vaishnav)
First Published: Jul 16, 2025 5:48 PM IST
